Argan Shares Soar on Merger Deal with Belgian Peer WDP

Shares of Argan, a French logistics real estate investment trust (REIT), surged +15.8% to €75.70 in recent trading after the company announced a transformative cross-border merger with its Belgian counterpart, WDP (Warehouses De Pauw). The rally, which pushed the stock to a new 52-week high of €76, was a direct reaction to deal terms that imply a substantial premium for Argan's investors, standing in sharp contrast to the broadly flat performance of the wider French market.

Deal Terms Imply 21% Premium

The all-share agreement proposes a transaction that values Argan at approximately €79.22 per share, representing a 21% premium over its pre-announcement closing price, according to the announcement.

Under the terms of the deal:

• Argan shareholders will receive three newly issued WDP shares for every Argan share they hold.
• An exceptional cash distribution of €11 per share will be paid out before the transaction is finalized.

This valuation structure provides a clear catalyst for the sharp upward repricing of Argan's stock, as the market adjusts to the value offered by the merger.

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Creating a Pan-European Logistics Giant

The merger is set to create a leading European logistics platform with a combined asset portfolio valued at approximately €13 billion. The enlarged entity will span eight countries and is projected to generate more than €700 million in annual rental income. For investors, the increased scale is expected to lower the company's cost of capital and enhance its market liquidity and competitive position.

Strong Shareholder Backing

The transaction has received unanimous support from the boards and supervisory councils of both companies. Crucially, key anchor shareholders have already committed to the deal, signaling a high probability of completion.

This includes Argan’s founding Le Lan family and Crédit Agricole Assurances, who together hold roughly 52% of Argan’s voting rights, as well as WDP’s founding De Pauw family. The companies expect to hold extraordinary general meetings in November 2026, with a target to close the deal in the first quarter of 2027.